Bad PR?

Henry Blodget over at Silicon Alley Insider argues that CNBC PR needs a new strategy dealing with fisk Cramer articles…

This is the same position CNBC (and Jim Cramer) have taken all along: Those who put forth data showing that Jim Cramer’s stock picks do worse than the market are just jealous competitors. And the attacks don’t stop at words:

[T]he last time Barron’s inquired about Cramer’s stock-picking, CNBC responded with cherry-picked success stories; lawyers; calls to Dow Jones executives; and an end to Barron’s regular presence on CNBC. Cramer shouted to his viewers that we were know-nothings and assured them that his Mad Money picks had “killed” the Standard & Poor’s 500 index…

In other words: shoot the messenger.

It’s time for CNBC to move past this. Jim Cramer is a major cash cow now, but the network will outlive him. And it’s shortsighted for CNBC to rush to defend Cramer’s stockpicking–especially when it can keep its Mad Money ratings and advertising revenue without doing so. CNBC’s viewers, many of whom don’t understand how hard it is to beat the market through active trading and stock-picking, deserve better.

Here’s what CNBC should say every time someone says that Jim Cramer’s stock picks underperform the market:

“Jim Cramer is the most-watched market commentator in the history of the world. Viewers love his energy, insight, and experience, and we’re thrilled to have him on CNBC.”

What would that response do? It would make articles like Barrons’ irrelevant. It would move the Cramer dialogue to where it belongs: To the observation that, regardless of how Cramer’s stock picks perform*, people like to watch him.

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One Response to “Bad PR?”

  1. […] ICN: Here’s what CNBC should say every time someone says that Jim Cramer’s stock picks underperform the market: “Jim Cramer is the most-watched market commentator in the history of the world. Viewers love his energy, insight, and experience, and we’re thrilled to have him on CNBC.” […]

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